Tema Oil Refinery: The 1-Year Transformation Story So Far

Tema Oil Refinery: From Decline to Revival Under Edmond Kombat

The Tema Oil Refinery has moved from a period of partial recovery before 2017 to deep decline, and now to a gradual revival under the leadership of Edmond Kombat, restoring operations, rebuilding staff trust, and repositioning the refinery as a strategic national asset. Once deemed a “white elephant” amid debates over potential privatization, the refinery is steadily coming back to life.

The story of TOR reflects resilience, determination, and disciplined management. During a site visit, Fellows of the Africa Extractives Media Fellowship had the opportunity to hear Kombat’s personal account of the refinery’s near-collapse and painstaking revival.

Part I: Fragile Recovery Before 2017

Between 2015 and early 2016, under the administration of John Dramani Mahama, TOR faced significant financial distress, with debt rising to approximately $650 million, threatening both the refinery and exposed financial institutions.

The government intervened through the Energy Sector Levies Act (ESLA), allocating around $300 million to settle debts owed to four banks on the brink of collapse. By January 2017, TOR’s debt was reduced to about $300 million, and a roadmap was in place to restore operations within three years.

Operationally, about 7 million barrels of crude had been refined, with an additional 1 million barrels in storage. Key investments had been made, including a new furnace, a 120-tonne boiler for power stabilization, and the offshore mooring facility, all intended to generate revenue. While not fully transformed, TOR had a foundation for rebuilding.

Part II: The Situation in 2025

By the time Kombat assumed leadership under President Mahama’s current term, the refinery had deteriorated severely. Debt had risen from $350 million to $517 million. Operations had stalled, plants had deteriorated, and seventeen storage tanks were out of service. TOR had gone six years without audited accounts, and losses had reached billions of cedis, leaving the company with negative equity. Employees faced unpaid benefits and delayed salaries, leading to low morale.

Revenue streams, such as dividends from the offshore mooring facility, had generated $54 million over eight years, but the use of these funds was unclear. Skilled staff had left, often moving to opportunities in the Middle East or to competitors like the Dangote Refinery, leaving a fractured workforce.

Part III: Reset, Rebuild, Restore

Kombat’s approach focused first on restoring human capital. Over 300 staff petitions were reviewed, overdue promotions granted, and salaries modestly increased to rebuild trust.

Revenue generation followed by extending operational hours at the loading gantry and attracting private petroleum players back to TOR, which enabled internally generated funds to grow.

The technical team then tackled the engineering challenge, rehabilitating the Crude Distillation Unit (CDU). On December 19, 2025, TOR resumed refining operations, marking a symbolic rebirth. Rehabilitation of storage tanks, loading infrastructure, and secondary processing units, like the RFCC, is ongoing.

Around 700 jobs, both temporary and permanent, have been created, and a new generation of workers is being trained. Kombat emphasizes TOR’s strategic value: storage capacity surpassing the Bulk Oil Storage and Transportation Company, aviation fuel processing, and critical pipeline links make it a national security asset. In global supply chain contexts, such infrastructure is indispensable.

A Story Still in Progress

While TOR is not yet fully restored, the transformation is evident. Operations have resumed, staff confidence is returning, and the refinery’s revival demonstrates that state-owned industrial enterprises can succeed through disciplined management and results-focused leadership.

For Edmond Kombat and his team, TOR’s revival is a testament to resilience, vision, and the strategic importance of Ghana’s industrial assets.